Petrohawk & GS

Any ideas why Goldman is advising Petrohawk on their take over? I hear that GS is weak in Houston and generally perceived as weak in the overall energy space. Petrohawk is a relatively large player in the energy space in Houston and I am just curious how GS can come in and convince the company that they can do a better job than say CS or Citi who are both strong in this sector..... Not to mention Jefferies (who did XTO) and the smaller banks (Simmons, TPH) who focus solely on this area....

Just curious how this all works, any thoughts?

9 Comments
 
Best Response

This is hardly surprising -- if you take a look at an NR M&A league table, you'll see that GS has always been a top advisor in the U.S. and globally (e.g., in 2010 GS was first in Thomson's NR M&A league tables, ahead of Barcap and MS in the U.S. and ahead of MS and JPM globally)

Not sure why you cited Citi and CS as top advisors in this space. The two are usually not top M&A contenders in NR... Citi has been a top 3 advisor in the U.S. once in the last five years, and CS hasn't at all. The numbers are worse on a global basis.

For the record, BHP is acquiring Petrohawk, not vice versa.

 
DXXI'm actually more surprised Scotia Waterous landed a role on this transaction, especially since they lost a couple of their top Houston guys to Evercore within the past few weeks

I was too at first, but after thinking about it I'm less surprised. Given the sheer amount of acreage the transaction involved, the technical expertise of a team of geologists and reserve engineers at a place like Scotia Waterous would be really helpful.

 

Lol kids... Its a major cross border deal there are certain implications. It is not an advisors sole job to tell the boards if they should accept or reject an offer.

"Oh the ladies ever tell you that you look like a fucking optical illusion" - Frank Slaughtery 25th Hour.
 

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